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Microsoft Dynamics Enables Economies of Scale for European Paints Manufacturing Company

Connect with Us About Client The Client is a multinational performance coatings and paints making company based in the Netherlands. With activities in more than 80 countries, the Dutch company employs a large employee base and has a portfolio of important trusted and well-known brands such as Dulux, Interpon among others. The Client, a major […]

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About Client

The Client is a multinational performance coatings and paints making company based in the Netherlands. With activities in more than 80 countries, the Dutch company employs a large employee base and has a portfolio of important trusted and well-known brands such as Dulux, Interpon among others.
The Client, a major producer of specialty chemicals supplying to industries and consumers worldwide, works passionately to develop sustainable solutions for its customers and leads the field when it comes to sustainability.

THE CHALLENGE

The paints manufacturing company has retail chains all over the European Union, selling paints to both consumers and professional decorating businesses. Many retail shops have their own business operations to sell paints and other high-value products independently. By not having to meet the standard requirements that The Client applies to its systems, they use their own systems. Therefore, each country has its own purchasing organization.
In such a scenario, with the centralization of purchasing mechanism, each country can achieve more economies of scale. The ultimate goal, however, is to increase profit margins.
With a mission to accelerate innovation in the paints manufacturing industry, The Client wanted to scale-up and gain positive insight into the ins and outs of each and every sales organization working autonomously in the European country. The company wanted a system that would promptly deliver this information whenever required.

OUR APPROACH AND SOLUTION

After an intensive selection process, Eclature and The Client chose Microsoft Dynamics AX that provides comprehensive functionality of the ERP solution for finance and logistics areas. Because of The Client’s knowledge of Microsoft Dynamics AX, we became involved as a technology implementation partner in the prestigious project. We understood that The Client has wide-ranging experience with large scale implementation.
The central core of the system was set up in the Netherlands by Eclature and The Client. The rollout phase began at this point. In England and Denmark, the system was already in place and was being used by the staff. To test and roll out the new system, we ensured that sufficient training (via eLearning or central meetings) was provided to the local project team and shop staff, put together in each country for this sole purpose.
The decision was taken to rolling out the new system in phases as it had to be implemented in many different countries. This way The Client could provide better support for local project teams.

RESULT

With a new integrated system developed by Eclature, The Client has greater insight into the financial performance of each of its store located in most European countries. After Denmark and England, the large-scale rollout of the new system will be put in place in The Netherlands, Switzerland, Sweden, France, and Norway.
Since the ERP solution was rolled out in phases, it became easier for the team to implement changes. With that convenience, The Client could compare data such as sales and distribution figures coming in from different countries, and respond appropriately.
Needless to say, the functionality of the ERP solution implemented in England and Denmark stores is already delivering benefits for The Client. Because of all the customer information was available at a glance, the staff could provide better advice for their customers. Once all the countries move on to the new Microsoft Dynamics AX system, The Client will begin to achieve transparency and economies of scale by making more purchases initiate from the central suppliers.